PRINTER'S NO. 2039

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 1635 Session of 1987


        INTRODUCED BY COLAFELLA, FOSTER, TIGUE, BROUJOS, SAURMAN,
           JAROLIN, LaGROTTA, KUKOVICH, FOX, GODSHALL, FARGO AND MORRIS,
           JULY 1, 1987

        REFERRED TO COMMITTEE ON LOCAL GOVERNMENT, JULY 1, 1987

                                     AN ACT

     1  Providing for the allocation, administration and use of Federal
     2     Small Cities Community Development Block Grant funds.

     3     The General Assembly of the Commonwealth of Pennsylvania
     4  hereby enacts as follows:
     5  Section 1.  Declaration of purpose.
     6     The purpose of this act is to provide for the allocation,
     7  administration and use of Federal Small Cities Community
     8  Development Block Grant funds provided to the Commonwealth
     9  pursuant to Title I of the Federal Housing and Community
    10  Development Act of 1974 (Public Law 93-383, 42 U.S.C. § 5301).
    11  Section 2.  Short title.
    12     This act shall be known and may be cited as the Pennsylvania
    13  Community Development Block Grant Program.
    14  Section 3.  Definitions.
    15     The following words and phrases when used in this act shall
    16  have the meanings given to them in this section unless the
    17  context clearly indicates otherwise:


     1     "Department."  The Department of Community Affairs of the
     2  Commonwealth.
     3     "Eligible applicants."  Those counties which, at the time of
     4  application for funds allocated under this act, are not eligible
     5  as urban counties as defined by section 102(a)(6) of the Housing
     6  and Community Development Act and those cities, boroughs,
     7  incorporated towns and townships which, at the time of
     8  application for funds allocated under this act, are not eligible
     9  as metropolitan cities as defined by section 102(a)(4) of the
    10  Housing and Community Development Act, and which are not
    11  participating in the Federal Community Development Block Grant
    12  Program of an urban county. Counties may apply only on behalf of
    13  eligible municipalities within their jurisdictions for projects
    14  directly benefiting, and located entirely within, said
    15  municipalities. In addition, no applicant shall be eligible to
    16  apply for funds allocated under this act if the applicant is
    17  undertaking a project previously funded hereunder, which project
    18  is less than 50% complete in terms of funds expended at the time
    19  of application.
    20     "Housing and Community Development Act."  Title I of the
    21  Federal Housing and Community Development Act of 1974 (Public
    22  Law 93-383, 42 U.S.C. § 5301), as amended.
    23  Section 4.  Allocation of funds.
    24     The funds which the Commonwealth receives pursuant to the
    25  Housing and Community Development Act shall be allocated by the
    26  department in accordance with the following formula:
    27         (1)  An amount up to 2% of the funds may be used by the
    28     department for administrative costs.
    29         (2)  The balance of the funds which remain after
    30     subtracting the administrative costs of the department shall
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     1     be used by the department to fund community development
     2     projects of eligible applicants.
     3  Section 5.  Administration of funds.
     4     The department shall award funds for community development
     5  projects based upon a competitive selection process to be
     6  developed by the department. Each project so funded must be
     7  designed to stand alone without any commitment of future Federal
     8  Small Cities Community Development Block Grant funds.
     9  Section 6.  Use of funds.
    10     The funds which are awarded by the department shall be used
    11  to fund community development projects which are comprised of
    12  eligible activities permitted in accordance with the Housing and
    13  Community Development Act and which are determined to be
    14  consistent with the community development priorities of the
    15  Commonwealth as established by the department.
    16  Section 7.  Regulations.
    17     The department shall, within 90 days of the effective date of
    18  this act, submit for review, pursuant to section 5(a) of the act
    19  of June 25, 1982 (P.L.633, No.181), known as the Regulatory
    20  Review Act, notice of proposed rulemaking for regulations to
    21  implement the provisions of this act. The regulations shall
    22  include the community development priorities established by the
    23  department and the specific competitive factors which will be
    24  used by the department in selecting and funding applications.
    25  Section 8.  Applicability.
    26     This act shall apply to the distribution of Federal Small
    27  Cities Community Development Block Grant funds which are or will
    28  become available to the Commonwealth beginning in Federal fiscal
    29  year 1988 and thereafter.
    30  Section 9.  Repeals.
    19870H1635B2039                  - 3 -

     1     All of the provisions of the act of October 11, 1984
     2  (P.L.906, No.179), known as the Community Development Block
     3  Grant Entitlement Program for Nonurban Counties and Certain
     4  Other Municipalities, pertaining to funds to be allocated in
     5  Federal fiscal year 1988 and thereafter are hereby repealed.
     6  Section 10.  Effective date.
     7     This act shall take effect immediately.
















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